On September 27, Tianhong Fund ’s first ETF, Tianhong GEM ETF (the "GEM TH" on the floor, trading code: 159977), will be listed on the Shenzhen Stock Exchange. At that time, investors can buy and sell stocks in various ways. This fund is conveniently traded in securities trading apps.
The announcement shows that Tianhong GEM ETF first raised about 641 million yuan. At the same time that the fund was announced, Tianhong Fund ’s original OTC Index Fund, which benchmarked the GEM, will be transformed into a Tianhong GEM ETF linked fund. As of mid-2019, the scale of the Tianhong GEM Index Fund was 3.326 billion yuan. Based on this calculation, Tianhong GEM ETF is expected to become the second largest benchmark ETF product on the market.
As a market-traded product, ETFs have higher requirements for liquidity. ETF products with good liquidity and active trading are generally more favored by investors. Tianhong GEM ETF has a unique advantage in liquidity. The original Tianhong GEM Index Fund is mainly sold through the Internet platform, and daily application and redemption is more active, which means that the Tianhong GEM ETF has natural high liquidity. In addition, after listing, Tianhong Fund will introduce high-quality market making. Business services, the combination of the two, can provide investors with good basic liquidity. In the future, Tianhong Fund will continue to optimize the large single service process, strive to build the most powerful single service capability, and strive to provide customers with optimal liquidity.
As of September 24, the GEM index has risen by more than 12% since July. At the current moment, will there still be investment opportunities in the GEM in the future? In this regard, Li Yunjie, a senior macro researcher of Tianhong Fund, said that as major global economies continue to cut interest rates, Europe, Japan and even into the era of negative interest rates, the market's risk-free rate of return is expected to continue to decline, which has increased the risk appetite of investors to a certain extent. . Taking into account that the profitability of GEM companies will stabilize at the end of the year, and the risk appetite will rise, the market's preference for growth stocks will also increase. In addition, the country's frequent support policies for emerging industries will see a better technology innovation industry in the fourth quarter of this year and next year. Investment opportunities.
Source: Shanghai Securities News